Compliance

Gender Pay Gap

The difference in average gross hourly earnings between men and women.

Definition

The gender pay gap refers to the difference in average gross hourly earnings between male and female employees, often expressed as a percentage of men's earnings. This gap can be further broken down into various components, such as basic pay and variable components, and analyzed by categories of workers to identify specific areas of disparity. The EU Pay Transparency Directive aims to reduce this gap through increased transparency and enforcement mechanisms.

Gender Pay Gap - AI Regulation Glossary | RewardsET